Unit 2: The Players - Study Guide & Test Review

What is the difference between a monopoly and perfect Competition?

• A monopoly is a market with a single seller, and perfect competition has many sellers with similar products

• A monopoly is a market with a single seller, and perfect competition is regulated by government leaders

• A monopoly is a market with a many sellers, and perfect competition has a single seller with similar products

• much money and property possible and a perfect competion is ensures all players have equal money and

Which group of players uses the goods and services produced in the game of economics?

• workers

• economists

• producers

• consumers

In economics, businesses do all EXCEPT which of the following?

• hire workers

• purchase resources

• guide the economy

• organize production

Which of the following statements best describes the results provided by market research?

• Market research helps producers understand market forces better.

• Market research tells producers what consumers want and what they're willing to pay.

• Market research lets producers predict what laws the government is planning to make

• Market research lets producers predict what laws the government is planning to make

Market research allows producers to create trends that lead to more sales.

• True

• False

Which of the following activities shows the government playing the role producer?

• The government opens a new college

• The government buys materials to build a bridge

• The government uses electricity to run its offices.

• The government uses electricity to run its offices.

Which of the following activities shows the government playing the role of consumer?

• The government opens a new college

• The government uses electricity to run its offices.

• The government builds new highways.

• Firefighters battle a fire at a building downtown.

Budgeting helps consumers reach their financial goals by helping them do which of the following?

• find the lowest price for goods and services

• conserve scarce natural resources

• keep their expenses below their income

• weigh the information needed to make rational decisions

The purpose of branding is to do which of the following?

• create a positive association

• differentiate products

• warn about dangers

• allocate resources

Which of the following best states the purpose of using a production possibilities frontier graph?

• pursuing the profit motive

• balancing economic goals

• to survey customer needs

• how to set up production efficently to maximizing revenue